usda: YOU CAN QUIT HOLDING YOUR BREATH, USDA HAS FUNDING. - 12/02/11 01:51 AM
 


You can quit holding your breath, USDA has funding.  For all of us who do USDA loans or as they are called in some parts, Rural Housing loans, we now have funding for the rest of fiscal year 2012.  Since October 1st of this year, Congress has issued two continuing resolutions that gave short term, temporary funding for this popular no down payment mortgage; now we have permanent funding through September 30, 2012.
USDA issued an “SFH Origination Updates”, dated December-1-2011, stating that $24 billion has been appropriated for USDA’s Single Family Housing Guaranteed Loan Program (SFHGLP).
“Please … (0 comments)

usda: USDA will implement a new monthly fee starting October 1, 2011 - 09/26/11 08:17 AM
 
 

 
USDA will implement a new monthly fee starting October 1, 2011.  Most people in the mortgage industry will consider this a mortgage insurance premium (MIP).  Up until now one of the unique features of a USDA home loan is it had no MIP.  This addition of MIP will mean a higher mortgage payment.
 
Fortunately the rate is not as high as FHA’s MIP.  It is one third the amount of FH’s.  A $100,000 USDA mortgage will have an addition MIP payment of $29.17.  For comparison purposes an FHA loan of $100,000 would have a monthly MIP … (4 comments)

usda: USDA FUNDING UPDATE - GOOD NEWS - 08/05/11 05:16 AM
 

USDA announced yesterday that they have enough money to fund their Single Family Housing Guaranteed Loan Program through the rest of this fiscal year.  USDA fiscal year 2011 ends on September 30, 2011.  Unlike other years when USDA ran out of money and had to shut this popular program down, this year will have no interruption in funding.
Quoting USDA August 4th news release: “While program demand and volume have heated up with the summer temperatures, ample funding remains available!  Homebuyers have no obstacles to funding for fiscal year 2011!”
USDA had allocated $24 billion dollars for this fiscal … (2 comments)

usda: Monthly Mortgage Insurance for Rural Housing loans - 07/23/11 10:05 AM

Currently Rural Housing loans have no monthly mortgage insurance but that will change on or after October 1st 2011.  A Rural Housing loan is a mortgage program favored by first time home buyer because of the no down payment requirement.  Rural Housing loans, or as sometimes called USDA loans, have always had an upfront fee but never a monthly fee.  This will change October 1st or soon thereafter as announced in Administrative Notice # 4551.  The Secretary of the United States Department of Agriculture (USDA) granted Rural Housing the right to establish an annual fee, not to exceed .5%, for … (2 comments)

usda: News from USDA, Rural Housing - 08/25/10 08:40 AM
Finally news from USDA, Rural Housing has arrived.  USDA released a letter dated August 23, 2010 to mortgage lenders saying Congress has given USDA the authority to increase the upfront fee to 3.5 percent of the base loan amount and to charge an annual fee of .50%.  Think of annual fee as monthly mortgage insurance.
 
This news from USDA, Rural Housing, which applies to the Single Family Housing Guaranteed Loan Program, says the new 3.5 percent upfront fee will start immediately.  They stated this new increase will maintain the program at a zero cost for now.  The annual fee, again … (1 comments)